Weekend Due Dates and Online Credit Card Payments Cause Late Fees

February 1, 2010
By: Joe Taylor

Making a credit card payment through a lender's website has become simple and seamless for most consumers. However, the way a bank's processing system has been set up can cause unexpected late fees for customers who don't double check their payment requests. One California resident discovered this the hard way, when her credit card company charged her $39 for a late payment, even though she had scheduled a deduction from her checking account days before the deadline.

A recent KGO-TV report profiled Lauren Carlysle, who called the station after seeing the late charge on her statement. Reporter Michael Finney contacted Carlysle's lender, who explained that her bill's due date fell on a Saturday. The online bill payment system automatically pushes Saturday payments to Monday, causing Carlysle's account to become delinquent.

Although Carlysle's credit card issuer reversed the charge, consumer advocates remind Americans to review their online bill payment requests for similar weekend due dates. Provisions of the Credit CARD Act protect borrowers from being charged for same-day online payments. However, no such protection exists for customers who set a pre-scheduled payment for after a cycle's deadline.

Important Note! The information in this article is believed to be accurate as of the date it was written. Please keep in mind that credit card offers change frequently. Therefore, we can not guarantee the accuracy of the information in this article. Please verify all terms and conditions of any credit card prior to applying.